Collection Calls?

I'm getting collection calls from a credit card company and they are telling me time is running out, they are about to charge off, etc. The last call was somewhat rude and I think they are trying to intimidate me. I want to work something out with them, but when I tell them what I am honestly able to pay, they don't want to hear it. I've had several conversations with collectors and I never get anywhere, but it makes no sense to agree to payments that I know I won't be able to make. Is it worth it to even try to talk to them?

Let me start by point out some bad advice you are being given.

Milomax wants you to pay what you can. I disagree. Once you make a payment, you "validate" the debt, and you are going to be legally forced acknowledge the debt. They can then demand greater payments. Hold off until you can get a firm payment agreement.

Debt counsolers/repair companies do the same thing you can do yourself, but they are going to charge you a fee! And many times, not only do they not help, they can actually damage your credit even more!

What I suggest is quit talking to them! From now on, everything goes in writing.

DO NOT talk to the collection agent. You have no legal obligation to talk to them at all, as your debt is to the original creditor.

Call the original creditor and try to deal with them. If they won't work with you (many won't) then you will have to work with the collector. But give it a try anyway. The smarter creditors realize that they will get more money dealing with you then through a collection agency, as they don't have to pay them a percentage.

Make them a REASONABLE offer! If you owe them $2,000 and only offer them $20 a month, forget it! It's not reasonable for them to wait 10 years to get paid! Offer that if they agree to freeze late/interest payments, you will pay them $170 a month and pay this off in one year. (example).

If they will not accept a reasonable offer, then just don't pay it. What choice do you have? Your credit will get a negative report (if it's not there already).

Worst case...it goes to court. Depending on the state you live in, many states allow the judge to order installment plans. If you show the judge you made an attempt, the judge will allow a reduced amount.

I know someone who went this route, and the collection agent was a total jerk! The judge allowed her to make $5 a month payments!

Good luck, hope it works out.

I have had the same problem, you talk to them one day tell them you can pay so much, they agree and the next day someone else calls you being rude and tells you its not enough, and you have to pay what they want. I have given up trying to talk to them, I send them what I can afford to pay. You don't have to put up with the harassement.

no they are just trying to intimiadate you for $. If it charges off it just hurts your credit and they will continue to call, see if you can get into a debt relief program, and if you send those companies a letter telling them to contact you by mail only - they have to listen.

You really don't want to let your debt charge off. Try talking to them again, and tell them this is absolutely all that you can do. They will try to talk you into as much as they possibly can, you just need to be firm in saying that what you have offered is all you can do.

In the meantime, send them what you can (and ONLY what you can afford) - it at least shows you are making an effort to pay what you owe.

Otherwise, the others are right. Get into a credit counseling program asap. Not a settlement company - true consumer credit counseling.

If it's a colletions agency, no is not worthed, they want to get the most money out of you since they work on comission.
Go to the company you owe money from and try to make a deal with them
Good Luck!

Go to a debt management company. They will work with the credit companies and get you a better deal. Unfortunately, the credit companies have no obligation to allow you to pay what you want (can afford); they can set the payments as they see fit.

Hope this helps.

Fair Debt Collection

If you use credit cards, owe money on a personal loan, or are paying on a home mortgage, you are a "debtor." If you fall behind in repaying your creditors, or an error is made on your accounts, you may be contacted by a "debt collector."

You should know that in either situation, the Fair Debt Collection Practices Act requires that debt collectors treat you fairly and prohibits certain methods of debt collection. Of course, the law does not erase any legitimate debt you owe.

This brochure answers commonly asked questions about your rights under the Fair Debt Collection Practices Act.

What debts are covered?
Personal, family, and household debts are covered under the Act. This includes money owed for the purchase of an automobile, for medical care, or for charge accounts.

Who is a debt collector?
A debt collector is any person who regularly collects debts owed to others. This includes attorneys who collect debts on a regular basis.

How may a debt collector contact you?
A collector may contact you in person, by mail, telephone, telegram, or fax. However, a debt collector may not contact you at inconvenient times or places, such as before 8 a.m. or after 9 p.m., unless you agree. A debt collector also may not contact you at work if the collector knows that your employer disapproves of such contacts.

Can you stop a debt collector from contacting you?
You can stop a debt collector from contacting you by writing a letter to the collector telling them to stop. Once the collector receives your letter, they may not contact you again except to say there will be no further contact or to notify you that the debt collector or the creditor intends to take some specific action. Please note, however, that sending such a letter to a collector does not make the debt go away if you actually owe it. You could still be sued by the debt collector or your original creditor.

May a debt collector contact anyone else about your debt?
If you have an attorney, the debt collector must contact the attorney, rather than you. If you do not have an attorney, a collector may contact other people, but only to find out where you live, what your phone number is, and where you work. Collectors usually are prohibited from contacting such third parties more than once. In most cases, the collector may not tell anyone other than you and your attorney that you owe money.

What must the debt collector tell you about the debt?
Within five days after you are first contacted, the collector must send you a written notice telling you the amount of money you owe; the name of the creditor to whom you owe the money; and what action to take if you believe you do not owe the money.

May a debt collector continue to contact you if you believe you do not owe money?
A collector may not contact you if, within 30 days after you receive the written notice, you send the collection agency a letter stating you do not owe money. However, a collector can renew collection activities if you are sent proof of the debt, such as a copy of a bill for the amount owed.

What types of debt collection practices are prohibited?
Harassment. Debt collectors may not harass, oppress, or abuse you or any third parties they contact.

For example, debt collectors may not:

use threats of violence or harm;
publish a list of consumers who refuse to pay their debts (except to a credit bureau);
use obscene or profane language; or repeatedly use the telephone to annoy someone.
False statements. Debt collectors may not use any false or misleading statements when collecting a debt. For example, debt collectors may not:

falsely imply that they are attorneys or government representatives;
falsely imply that you have committed a crime;
falsely represent that they operate or work for a credit bureau;
misrepresent the amount of your debt;
indicate that papers being sent to you are legal forms when they are not; or
indicate that papers being sent to you are not legal forms when they are.
Debt collectors also may not state that:

you will be arrested if you do not pay your debt;
they will seize, garnish, attach, or sell your property or wages, unless the collection agency or creditor intends to do so, and it is legal to do so; or
actions, such as a lawsuit, will be taken against you, when such action legally may not be taken, or when they do not intend to take such action.
Debt collectors may not:

give false credit information about you to anyone, including a credit bureau;
send you anything that looks like an official document from a court or government agency when it is not; or
use a false name.
Unfair practices. Debt collectors may not engage in unfair practices when they try to collect a debt. For example, collectors may not:

collect any amount greater than your debt, unless your state law permits such
a charge;
deposit a post-dated check prematurely;
use deception to make you accept collect calls or pay for telegrams;
take or threaten to take your property unless this can be done legally; or
contact you by postcard.
What control do you have over payment of debts?
If you owe more than one debt, any payment you make must be applied to the debt you indicate. A debt collector may not apply a payment to any debt you believe you do not owe.

What can you do if you believe a debt collector violated the law?
You have the right to sue a collector in a state or federal court within one year from the date the law was violated. If you win, you may recover money for the damages you suffered plus an additional amount up to $1,000. Court costs and attorney' s fees also can be recovered. A group of people also may sue a debt collector and recover money for damages up to $500,000, or one percent of the collector' s net worth, whichever is less.

Where can you report a debt collector for an alleged violation?
Report any problems you have with a debt collector to your state Attorney General' s office and the Federal Trade Commission. Many states have their own debt collection laws, and your Attorney General' s office can help you determine your rights.

The FTC works for the consumer to prevent fraudulent, deceptive and unfair business practices in the marketplace and to provide information to help consumers spot, stop, and avoid them. To file a complaint or to get free information on consumer issues, visit www.ftc.gov or call toll-free, 1-877-FTC-HELP (1-877-382-4357); TTY: 1-866-653-4261. The FTC enters Internet, telemarketing, identity theft, and other fraud-related complaints into Consumer Sentinel, a secure, online database available to hundreds of civil and criminal law enforcement agencies in the U.S. and abroad.

You need to go to consumers credit counseling service or a like company who will work with your creditors to lower the rates and payment amounts.

They do try to resort to bully tactics....and some even resort to illegal acts such as threatening you with jail, etc. If I was you I would probably hire a lawyer (you can get an affordable one or sometimes you can get help from county programs) and take it to court telling them what you are able to pay. Good luck.

You need to go to consumers credit counseling service or a like company who will work with your creditors to lower the rates and payment amounts.

If you desire to pay off your debts (which is great), find out an address to mail payments to, and make regular payments of what you can afford. Keep records of what you paid.

You might also want to try to work out a "deal", I know I've seen collection agencies want to cut my bill in half if I will just pay it off.

When you answer the phone, tell them that "you" are not there..
Pretend to be a neighbor, friend or relative...
Tell them that "you" have gone to Africa on church mission and will be back in 3 months....You cannot be reached by phone...

Enter Your Message or Comment

User Name:
User Email:
Post a comment:

Archive: Forum -Forum -Finance - Links - 1 - 2 - RSS - All RSS Feeds
The Causes and the Results. 0.044
Copyright (c) 2011 Financial Crisis Sunday, May 27, 2012 - Terms of use - Privacy Policy